A month after Malaysian billionaire Ananda Krishnan was reported to be considering selling satellite operator Measat, he is now rumoured to be eyeing an IPO of local satellite pay-TV company Astro All Asia Networks.
Sources quoted by reports said…
A month after Malaysian billionaire Ananda Krishnan was reported to be considering selling satellite operator Measat, he is now rumoured to be eyeing an IPO of local satellite pay-TV company Astro All Asia Networks.
Sources quoted by reports said that no decision has been made yet on the listing, which could take place by the end of the year or next year. They added that it could allow the company to raise as much as US$1.5bn.
No banks have reportedly been mandated for the potential deal. Astro could not be reached for comment before the press deadline.
Astro was delisted in 2010 after Krishnan made a US$758m buyout offer to purchase the 27.1% it did not already own, valuing the company at US$2.5bn.
By taking the firm private, Krishnan had hoped to speed up investments in India, China and Malaysia without the need for shareholder approval.
But at the time, Astro had already stated that a relisting would “certainly be considered when [the company] achieves a more stable earnings profile.”
Rumours of a listing come as Krishnan is currently in the process of divesting several of its assets.
The billionaire recently sold some power plants in various countries worth US$3bn to 1 Malaysia Development, a sovereign wealth fund.
Shortly after, reports suggested that Krishnan was looking to sell Measat, in which he owns a majority stake. The satellite operator is valued at approximately US$500m.
Arabsat has been tipped as potential buyer but talks between the two companies have reportedly stalled on valuation differences.
Krishnan took Measat private in September 2010 after buying Telekom Malaysia’s 15.4% holding in the satellite operator for MYR252.1m (US$81m). At the time, the privatisation move was widely regarded as a spur to further investment in order for the satellite operator to gain scale internationally.